Hello everyone,
I am new to Forex trading. After losing heavily in risky strategies (putting all the eggs on one single trade, etc.) I decided to play safer, and to see if long-term trades, with very little risk involved each time, success will smile to me.
My new strategy is very simple: I will ONLY trade in a pair if I can clearly deduct whether a it has a clear trend on both weekly and daily charts. I no longer care about smaller time scales. My risk is approximately 0.5% of my capital per trade, and I generally let them to run for 2-6 weeks.
Strategy: The entries are generally done when I think that although the pair (say, USDJPY or NZDUSD) is still trending, it is going to have a pullback. I wait for the pullback to reach the previous lower-high, then I get in.
After 14 months, my capital grew 20% from its initial value. No amount has been retrieved. Most trades are going fine, while there are some resulting in hundreds of pips loss, others balanced it back to positive.
For seasoned traders, is this strategy sound, or are there obvious flaws? I would like to keep trading for the decades to come (I'm 21 yrs old) and would like to adopt good habits right now.
Thanks!
I am new to Forex trading. After losing heavily in risky strategies (putting all the eggs on one single trade, etc.) I decided to play safer, and to see if long-term trades, with very little risk involved each time, success will smile to me.
My new strategy is very simple: I will ONLY trade in a pair if I can clearly deduct whether a it has a clear trend on both weekly and daily charts. I no longer care about smaller time scales. My risk is approximately 0.5% of my capital per trade, and I generally let them to run for 2-6 weeks.
Strategy: The entries are generally done when I think that although the pair (say, USDJPY or NZDUSD) is still trending, it is going to have a pullback. I wait for the pullback to reach the previous lower-high, then I get in.
After 14 months, my capital grew 20% from its initial value. No amount has been retrieved. Most trades are going fine, while there are some resulting in hundreds of pips loss, others balanced it back to positive.
For seasoned traders, is this strategy sound, or are there obvious flaws? I would like to keep trading for the decades to come (I'm 21 yrs old) and would like to adopt good habits right now.
Thanks!